DSME Shandong embraces China-South Korea FTA

[Photo by Sun Muyao(chinadaily.com.cn)]

On Sept. 13, DSME Shandong finished construction after just 11 months. The company has expanded from blocks for vessels to varieties of marine products.

“We chose Yantai Economic and Technological Development Area, first because its geographical position is good for shipyards,” Tian Gengzhong, vice-general manager of DSME Shandong said. More importantly, as a state-level development zone, it is geographically close to South Korea and Japan, with advantages of transportation and logistics.

In addition, many big Korean brands are gathered in the Development Area, including LG, Doosan, and Pohang Iron & Steel Company, offering a powerful guarantee of policy and government services.

On June 1, China and South Korea signed a free trade agreement, and the China-South Korea Industrial Park was included in the China-South Korea FTA, which drew attention from all walks of life. The park is not only a key area in China’s ocean strategy, but also an important project of the “Belt and Road” strategic plan.

The agreement will bring more chances for DSME to expand its market reach. “Yantai is not only the starting point of the “Belt and Road” plan but also the bridgehead of the China-South Korea FTA. The two countries will embrace the opportunities brought by the agreement and strengthen cooperation to achieve their goals,” Tian said. The same goes for DSME.

Established as a sole venture by DSME in 2005, DSME Shandong Co., Ltd.(DSSC) is located in Yantai, a picturesque coastal city, with major products like offshore drilling platform and vessel blocks. With total investment of USD190 million, and a land area of about 1 km. sq., DSSC will be staffed by 3,000 employees in 2013, and over 10,000 employees in the future.